Fuel excise cuts extended to June next year

Minister for Finance Simon Harris has announced that the temporary reduced fuel excise rates will be extended until the end of February 2027. The cuts, initially introduced in April, have lowered the price of a litre of diesel by 32 cents and petrol by 27 cents. Initially set to resume in November, the Government has decided to gradually restore the excise in four phases, with a complete restoration not taking effect until June 2027.

Additionally, the reduced NORA levy and enhanced Diesel Rebate Scheme will also be extended until the end of the year. The Department of Finance is working with the European Commission to secure better tax treatment for Hydrotreated Vegetable Oil (HVO) to support the transition to greener alternatives. These measures aim to keep inflation low, reduce business costs, and provide more money in people's pockets.

Furthermore, the carbon tax on home heating oil and gas will not be increased again during this government's term, with rates on these products being reduced to €48.50 per tonne, down from the scheduled increase to €78.50 per tonne by May 2027.